Which of the following led to more consolidation, fewer banks, and more competition?
A) Glass-Steagall Act
B) McFadden Act
C) Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994
D) The National Banking Act of 1863
The answer is C. "Riegle Neal Interstate Banking and Branching Efficiency Act of 1994" allowed well managed and well capitalized banks to acquire other small banks. The Act was passed in early 1990s to establish nationawide banks which led to consolidation of smaller banks and forming few large banks.
Which of the following led to more consolidation, fewer banks, and more competition? A) Glass-Steagall Act...
16. Which banking law had the biggest impact on increasing the size of banks and leading the US banking system toward the challenge of TBTF? A. Glass Steagall B. Interstate Banking Act of 1994 C. Dodd Frank D. Federal Reserve Act E. TARP 17. In the Federal Reserve supervision report of November 2018, there were three key principles highlighted
In 1934, Congress enacted the Glass-Steagall Act, which prohibited commercial banks from using depositors' money to speculate in stocks. More than six decades of financial stability ensued. Why was this law repealed in 1999? 1-Because economists from elite universities, many of them under contract with investment banks, regarded the "Chinese wall" separating commercial and investment banks as outmoded. 2-Because financial services industry leaders demanded more insurance than Glass-Steagall provided. 3-Glass-Steagall was concerned with international commerce, not with financial regulation. 4-Because...
22- Which of the following statements is most correct? a. A venants in mortgage bond is one that allows the same assets to be used as security in future bond issues. b. Covenants in a trust indenture restrict or limit the actions the firm c c. Retractable bonds can be redeemed prior to maturity by the firm. d. All of the above are correct. 23-Wh a. Setting reserve requirements b. Altering the discount rate, c. Through federal open market operations...
39. The Federal Reserve Act required all banks to become members of the Federal Reserve System, while _banks could choose to become members of the system. (a) state; national (b) state; municipal (c) national; state (d) national, municipal 40. The Glass-Steagall Act prohibited commercial banks from (a) issuing equity to finance bank expansion. (b) engaging in underwriting of and dealing in corporate securities (c) selling new issues of government securities. (d) purchasing any debt securities 41. Which of the following...
Which of the following is true of the Court of Justice? Select one: A. Member countries cannot bring the commission or the council to this court. B. It comprises several judges from a few selected countries. C. It is the supreme appeals court for European Union law. D. The judges are required to act as representatives of national interests. E. A member country cannot bring another member country to this court. Which of the following is true of the Treaty...
Long-run equilibrium in monopolistic competition is characterized by which of the following? (There may be more than one correct answer.) a. Excess capacity b. Monopoly profits as a result of collusion c. Zero profits d. More profits than under perfect competition but less than under monopoly e. P = MC
1. Which the following requires new issues to file a registration statement and issue a prospectus? a. Dodd-Frank Act of 2010 b. Glass- Steagall Act of 1933 c. Securities Exchange Act of 1934 d. Securities Act of 1933 2. The best criterion for in an investment decision: a. finance all capital budgeting projects with debt b. minimize the cost of the investment c. maximize the difference between cash inflows and cost d. maximize the number of capital budgeting projects 3....
Which of the following best describe benefits of monopolistic competition over perfect competition? I. More variety of products for the consumers II. Incentivizes innovation III. Products offered are exact substitutes for one another A. I, II, and III B. II and III only C. I and II only
Multiple Choice: Choose the “best” answer. Please Answer all Money center banks rely more heavily on wholesale and borrowed funds as sources of liability funding than do community banks. True False Commercial paper is an alternative (competitive product) for large established companies that otherwise would need a business loan from a commercial bank. True False There is only one regulatory agency for commercial banks in the U.S.. True False 4. Customer deposits are classified on a DI's (depository banks) balance...
Ic 29. Which of the following happened during Ronald Reagan's term as President (1981 through 1988)? A) B) C) D) The federal deficit was greatly reduced. The Gramm-Leach-Bliley Act was passed, eliminating many restrictions on banking. The national debt increased significantly. A and B. 30. Which of the following happened during Bill Clinton's term as President (1993 through 2000)? A) B) C) D) The federal deficit was greatly reduced. The Gramm-Leach-Bliley Act was passed, eliminating many restrictions on banking. The...